A South Carolina Term Sheet — Royalty Payment Convertible Note is a legal document that outlines the terms and conditions for a financial arrangement between a lender and a borrower in South Carolina. It specifically includes provisions related to royalty payments and the conversion of the loan into equity in the borrower's company. Keywords: South Carolina, Term Sheet, Royalty Payment, Convertible Note, lender, borrower, financial arrangement, equity. There may be different types of South Carolina Term Sheet — Royalty Payment Convertible Notes, such as: 1. Fixed Royalty Payment Convertible Note: This type of agreement includes a fixed royalty payment that the borrower agrees to make to the lender based on specified terms. The loan can be converted into equity if certain conditions are met. 2. Percentage Royalty Payment Convertible Note: In this variant, the royalty payment is determined based on a percentage of the borrower's revenue or profits. The loan conversion into equity is contingent upon meeting predetermined conditions. 3. Hybrid Royalty Payment Convertible Note: This type combines elements of both fixed and percentage royalty payments. It may include a fixed initial royalty payment that is later adjusted based on a percentage of the borrower's revenue or profits. Conversion to equity is possible according to specific terms and conditions. 4. Variable Conversion Price Convertible Note: Unlike a standard convertible note, this variation allows for a flexible conversion price, which can fluctuate based on pre-defined factors specified in the term sheet. This type of note could include royalty payments in addition to or in place of interest payments. It's important to note that the exact terms and provisions of a South Carolina Term Sheet — Royalty Payment Convertible Note may vary depending on the specific agreement reached between the lender and borrower. It is crucial for both parties to thoroughly review and negotiate the terms to ensure their individual interests are protected. Hence, seeking professional legal advice is advisable.